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Govt allocates Tk100C for climate trust fund

The government expects the afforestation initiatives to generate around 350,000 green jobs, both directly and indirectly

Update : 11 Jun 2026, 07:27 PM

The government has proposed an allocation of Tk100 crore for the Climate Change Trust Fund in the national budget for fiscal year 2026–27, alongside a series of measures aimed at building a greener and climate-resilient Bangladesh.

Finance Minister Amir Khasru Mahmud Chowdhury, while presenting the budget in Parliament on Thursday, said the government would prioritize environmental conservation, afforestation and climate adaptation to ensure a sustainable future for the next generation.

“One of the key objectives of the government is to address the challenges of climate change and build a green and sustainable Bangladesh for future generations,” the finance minister said.

The proposed budget allocates Tk2,240 crore to the Ministry of Environment, Forest and Climate Change, up from Tk2,144 crore in FY26 and Tk1,837 crore in the revised FY26 budget.

250 million trees in five years

As part of an afforestation drive, the government plans to plant 250 million trees over the next five years, with plantation activities to be expanded across roadsides, highways, embankments, riverbanks, canal banks and other marginal lands.

Khasru said forest restoration efforts would focus on government forest areas, while mangrove afforestation in coastal char regions would be expanded to strengthen ecological resilience.

Afforestation in institutions and homesteads, along with agroforestry and urban forestry programs, will also be intensified.

The government will additionally restore degraded sal forests in Chittagong, the Chittagong Hill Tracts, Sylhet and central Bangladesh, according to the minister.

To improve transparency and accountability, digital technologies such as GPS and GIS-based databases will be used to monitor plantation activities. A Tree Monitoring App is also being developed to digitally oversee tree plantation and maintenance.

The government expects the afforestation initiatives to generate around 350,000 green jobs, both directly and indirectly.

‘One Child, One Tree’ program

Under the government’s “One Child, One Tree” initiative, an action plan has been finalized to facilitate the plantation of 10 million trees at the homes of students enrolled in government primary schools.

For FY27, the environment ministry has set targets to plant:

  • 42.89 million saplings across 25,960 hectares of block plantations
  • 3.72 million saplings along 3,727 kilometres of strip plantations
  • 17.77 million saplings in 4,000 hectares of mangrove plantations
  • 5.6 million saplings through homestead afforestation programs

Carbon trading, biodiversity and climate resilience

To strengthen climate resilience, the government plans to bring 50% of coastal mangrove forests under carbon trading mechanisms, while also updating the national wildlife Red List and assessing 2,200 wildlife species, including marine species, to support biodiversity conservation.

Under Article 6 of the Paris Agreement, the government has already initiated 11 new carbon trading projects, the minister said.

Bangladesh is also moving towards a “Circular Future Model” in waste management, with plans for waste-to-energy generation, organic fertilizer production and plastic recycling.

Tackling air pollution

The finance minister said air quality monitoring is currently conducted through 15 Continuous Air Monitoring Stations (CAMS) and 16 Compact Continuous Air Monitoring Stations (C-CAMS) across the country.

To reduce vehicular emissions, the government plans to establish 10 modern Vehicle Inspection Centres under the Bangladesh Road Transport Authority (BRTA) and introduce electric bus services.

Additionally, continuous online stack emission monitoring systems will be installed in major polluting industries, including power plants, while new guidelines will be developed for environmentally sound e-waste management.

Reducing plastic waste

The minister said the government has already banned 17 harmful single-use plastic items and aims to reduce plastic waste by 30% over the next five years under the 3R policy — Reduce, Reuse and Recycle.

Among industries required to install Effluent Treatment Plants (ETPs), 2,700 out of 3,260 establishments have already complied, while 820 factories are now using IP camera-based monitoring systems to oversee wastewater treatment.

Climate-smart agriculture

Khasru said the government would also undertake canal excavation in southern regions adjacent to rivers to reduce soil salinity in agricultural lands.

As part of a longer-term strategy, financing will be provided for projects focused on developing new crop varieties through organic agriculture, safe fertilizers and environmentally sustainable production practices.

“In FY2026-27, initiatives will be undertaken for sustainable forest management, conservation of endangered species, expansion of afforestation activities and research to ensure innovative technologies reach people’s doorsteps,” the minister said.

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